WallStSmart

Franklin Financial Services Corp (FRAF)vsU.S. Bancorp (USB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

U.S. Bancorp generates 30572% more annual revenue ($26.35B vs $85.92M). USB leads profitability with a 28.7% profit margin vs 24.7%. FRAF appears more attractively valued with a PEG of 1.03. FRAF earns a higher WallStSmart Score of 77/100 (B+).

FRAF

Strong Buy

77

out of 100

Grade: B+

Growth: 8.7Profit: 7.0Value: 10.0Quality: 4.8
Piotroski: 2/9

USB

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 10.0Quality: 5.3
Piotroski: 5/9Altman Z: 0.39
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FRAFUndervalued (+78.1%)

Margin of Safety

+78.1%

Fair Value

$221.83

Current Price

$50.14

$171.69 discount

UndervaluedFair: $221.83Overvalued
USBUndervalued (+75.8%)

Margin of Safety

+75.8%

Fair Value

$214.00

Current Price

$51.89

$162.11 discount

UndervaluedFair: $214.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FRAF5 strengths · Avg: 9.8/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Revenue GrowthGrowth
54.7%10/10

Revenue surging 54.7% year-over-year

Profit MarginProfitability
24.7%9/10

Keeps 25 of every $100 in revenue as profit

USB6 strengths · Avg: 9.3/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
39.3%10/10

Strong operational efficiency at 39.3%

Market CapQuality
$81.01B9/10

Large-cap with strong market position

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

EPS GrowthGrowth
24.7%8/10

Earnings expanding 24.7% YoY

Areas to Watch

FRAF2 concerns · Avg: 3.0/10
Market CapQuality
$217.20M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

USB2 concerns · Avg: 3.0/10
PEG RatioValuation
1.804/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.392/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : FRAF

The strongest argument for FRAF centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 24.7% and operating margin at 34.8%. Revenue growth of 54.7% demonstrates continued momentum.

Bull Case : USB

The strongest argument for USB centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.7% and operating margin at 39.3%.

Bear Case : FRAF

The primary concerns for FRAF are Market Cap, Piotroski F-Score.

Bear Case : USB

The primary concerns for USB are PEG Ratio, Altman Z-Score.

Key Dynamics to Monitor

FRAF profiles as a growth stock while USB is a mature play — different risk/reward profiles.

USB carries more volatility with a beta of 1.04 — expect wider price swings.

FRAF is growing revenue faster at 54.7% — sustainability is the question.

USB generates stronger free cash flow (2.8B), providing more financial flexibility.

Bottom Line

FRAF scores higher overall (77/100 vs 75/100), backed by strong 24.7% margins and 54.7% revenue growth. USB offers better value entry with a 75.8% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Franklin Financial Services Corp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Franklin Financial Services Corporation is the banking holding company for the Farmers and Merchants Trust Company of Chambersburg providing commercial, retail and trust banking services to small and medium-sized businesses, individuals, government entities, and non-profit organizations in Pennsylvania. The company is headquartered in Chambersburg, Pennsylvania.

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U.S. Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

U.S. Bancorp is an American bank holding company based in Minneapolis, Minnesota, and incorporated in Delaware. The company provides banking, investment, mortgage, trust, and payment services products to individuals, businesses, governmental entities, and other financial institutions.

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